How Does a Decrease in Government Spending Affect the Aggregate

question 290

Multiple Choice

How does a decrease in government spending affect the aggregate expenditure line?

• A)It shifts the aggregate expenditure line upward.
• B)It shifts the aggregate expenditure line downward.
• C)It increases the slope of the aggregate expenditure line.
• D)It decreases the slope of the aggregate expenditure line.

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Definitions:

Hygiene Factors

Elements related to job dissatisfaction according to Herzberg's motivation-hygiene theory, including company policy, supervision, salary, interpersonal relations, and working conditions.

Dissatisfiers

Factors or elements in a situation or product that can cause dissatisfaction if missing or poorly executed, though their presence does not necessarily increase satisfaction.

Herzberg

Refers to Frederick Herzberg, an American psychologist known for introducing the two-factor theory, also known as Herzberg's motivation-hygiene theory, in workplace management.

Behavior Modification

A therapeutic approach aimed at changing specific behaviors using various techniques such as reinforcement and punishment.